Christie admits Lonegan's flat tax was lower

Readers often ask me why I'm so skeptical of our new governor. Here's why. Chris Christie was answering questions from Paul Gigot on a Sunday-morning talk show when the following exchange took place. Note how at the end he admits that Pennsylvania has a lower income tax than New Jersey. Yet during the primary campaign against conservative Steve Lonegan, Christie accused Lonegan of planning to hike taxes through a planned 2.9 percent flat tax. That's lower than Pennsylvania's current rate of 3.07 percent.

It can't be both higher and lower at the same time. An apology is in order. But I don't expect to hear it. I can't understand how a guy could make the argument that a flat tax is a tax hike in a primary campaign and then switch to calling it a tax cut after he wins election.

That's why I'm cynical about Christie.

Gigot: Wow, fascinating. The other issue I want to ask you about is the millionaires tax. The Democrats in the Legislature said, "Rather than go through these spending cuts, what we're going to do is we're going to raise on millionaires." It's a time-honored tactic. It's been done in New Jersey. You had a similar tax before that was passed under the previous governor and then was phased out. They wanted to reinstate it. You vetoed it. Can't the rich afford to pay those taxes? Why did you veto that?

Christie: That's really not the question, whether someone can afford to pay a tax. It is about what kind of atmosphere you want to set up in your state. We've raised taxes 115 times in eight years, and we still have an $11 billion deficit. So if raising taxes fixed the problem, we should be in the black with all the times we've raised taxes. It doesn't. We drive business and people from the state. Boston College did a study that between 2004 and 2008, $70 billion in wealth has left the state of New Jersey.

Gigot: Where do they go? Where are they going?

Christie: Florida, Pennsylvania, Connecticut.

Gigot: Florida has no income tax.

Christie: No income tax at all. And all these states have a lower tax structure on property taxes, income tax, sales tax, than New Jersey does.